Smartphone maker HTC has reported a 79% drop in profits for the third quarter as it continues to lose the battle against rivals, Apple and Samsung.
This is in a sharp contrast with Samsung, who have forecast record profits for the same period, mainly thanks to the strong sales of its Galaxy smartphones.
At this moment it time it look unlikely that HTC will catch up to its rivals in the near future. If it is to catch up it is in much need of a hit model in 2013, otherwise margins will continue on this downslide.
Although the firm was among the early pioneers of Andriod-based smartphones and enjoyed a considerable share in key markets, it has been hurt by the success of Samsung’s Galaxy range as well as Apple’s iPhone. The two rivals have consistently launched new models, with Samsung unveiling the Galaxy S3 and Apple its iPhone5 earlier this year and this has only extended their lead over HTC.
But in an attempt to regain it marketshare, HTC have also launched new models, including two Windows 8 phones. Although critics say they are unlikely to have a significant impact on the firm’s fortunes.
Time will only tell for HTC. With new phones such as the Nokia Lumia 920 and the Sony Xperia S hitting the consumer market and offering an abundance of gadgetry and technology, HTC have a lot of ground to make up.